As we mentioned in our December 8^th posting on the Red Flags Rule (“Rule”), implementation of the Rule by the Federal Trade Commission (“FTC”) has been repeatedly delayed since 2008 while members of Congress seek a legislative fix limiting the scope of the Rule. The FTC is currently slated to begin enforcement of the Rule on January 1, 2011. Continue Reading Legislative Fix for Red Flags Rule Sent to President Obama

It’s not surprising if you haven’t heard of the Red Flags Rule (“Rule”). That’s because since the Rule was originally slated to go into effect in January of 2008, members of the United States Congress have repeatedly asked the Federal Trade Commission (“FTC”) to delay implementation of the Rule while a legislative fix was sought limiting the entities that will be required to comply with the Rule. While that task has not been accomplished, the Rule is currently slated to become effective on January 1, 2011.Continue Reading Red Flags Rule Effective January 1st

The Federal Housing Administration is implementing a new approval process for condominium projects.  All projects must now obtain re-approval every two years.  Most current approvals are scheduled to expire on December 7, 2010.

Check your condominium’s approval status at the following link, and contact us if you need assistance obtaining re-approval before the December deadline.

As you know from our November 12, 2010 posting, most community associations in Colorado will be required to register with the Colorado Division of Real Estate (“Division”) by January 1, 2011.   While there was some talk that associations would be able to begin registering as early as November, the Division has not yet completed the online registration process. In fact, an emergency rule may be promulgated to provide a grace period for associations to register. Continue Reading Start Preparing Now for HOA Registration

Earlier in this legislative session, we wrote about proposed new legislation, Colorado H.B. 1278, that was going to create an HOA Ombudsman as a State of Colorado employee. The earlier version of the bill required the Ombudsman to be an advocate for the rights of unit owners in their communities and offer to mediate disputes, but would not purport to give legal advice to any party; act as a clearing house for information concerning the rights and duties of unit owners, declarants, and unit owners’ associations under CCIOA; report suspected violations of the new law or rules of the Division of Real Estate; and report other suspected violations of law to the appropriate authorities.          

The proposed law went through many iterations, but was finally passed on third reading by both the Senate and House last week, and was sent to the Governor’s desk for signing. Assuming that the bill is not vetoed, it will become effective on January 1, 2011. On its journey, the bill was winnowed down to remove the advocacy provisions, and instead of creating an Ombudsman to advocate for everybody, now creates within the Division of Real Estate an HOA Information and Resource Center, the head of which will be the HOA Information Officer.Continue Reading An Ombudsman For Everyone? Apparently Not

While this may not seem such a big deal to many of our readers, – read: nonlawyers -, HOA lawyers have a very difficult practice. Not only is it important to be well versed in the major areas of the practice, such as Real Estate, Colorado Common Interest Ownership Act, Corporation and Non-Profit Corporate Acts, Contracts, Litigation, especially Collections, but also knowledgeable in other areas to seek expert advice to make sure the client receives the best and most accurate information. Examples include laws regarding fair housing, employment, bankruptcy, taxes and other esoteric areas.

With all the new laws being passed directly involving HOA’s (see Mark Payne’s most recent posting) and those affecting HOAs indirectly, it is important to be aware of situations that may have impact how we attorneys offer advice.

Last year Congress passed Public Law 111-22, Title VII –Protecting Tenants at Foreclosure Act, effective May 20, 2009. The law was passed to protect bona fide tenants against immediate evictions by the successor in interest of “any foreclosure on a federally-related mortgage or loan or on any dwelling or residential real property after the date of the enactment [May 20, 2009]…” The law appears to focus on public trustee foreclosures on mortgages covered under federal law. But, because of the inclusion of “…or on any dwelling or residential property after the date of enactment…,” I would interpret the intent of “or” to include all foreclosures on dwellings and residential real property with or without it being a “federally-related mortgage,” – including HOA lien foreclosures as well.

 Continue Reading Protecting Tenants under Foreclosures